IRS Announces American Rescue Plan Raises Child Tax Credit For 2021, Largest Ever
DID YOU GET A LETTER FROM THE IRS?
Oh my – a letter from the IRS! That has to be bad news, right? Perhaps an audit notice? Well, not in this situation! 36 million families will be receiving a letter from the IRS explaining the new child tax credit provisions for 2021 under the American Rescue Plan. It is predicted that 92% of households with kids will qualify for direct financial aid. For those with children, the American Rescue Plan increased the Child Tax Credit from $2,000 per child to $3,000 per child for children over the age of six and from $2,000 to $3,600 for children under the age of six, and raised the age limit from 16 to 17. All working families will get the full credit if they make up to $150,000 for a couple or $112,500 for a family with a single parent (also called Head of Household).
INFO DIRECT FROM THE IRS WEBSITE:
“Important changes to the Child Tax Credit will help many families get advance payments of the credit starting this summer. The IRS will pay half the … Read More... “How Much Child Tax Credit Should You Receive Starting July 15th?”